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Clarice Saw Final Judgment $2.4M Fraud Misappropriation

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Summary

The SEC obtained a final judgment against Clarice Saw, a former New York registered representative, for misappropriating approximately $2.4 million from an elderly customer between December 2021 and March 2022. The Southern District of New York entered the judgment on April 15, 2026, permanently enjoining Saw from violating federal securities laws and ordering her to pay disgorgement of $640,587.30, prejudgment interest of $98,144.04, and a civil penalty of $640,587.30.

“The final judgment permanently enjoins Saw from violating the above-stated provisions of the federal securities laws by committing or engaging in specified actions or activities relevant to such provisions, and further orders Saw to pay disgorgement of $640,587.30, prejudgment interest of $98,144.04, and a civil penalty of $640,587.30.”

SEC , verbatim from source
Why this matters

Registered broker-dealers should review controls around elderly customer accounts, particularly wire transfers and fund movements, against the conduct described here: misappropriation by a registered representative over approximately four months while at a registered broker-dealer. The SEC charged violations of Section 10(b)/Rule 10b-5 and Section 17(a) — the core anti-fraud provisions — and obtained permanent injunctive relief plus substantial monetary sanctions.

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About this source

GovPing monitors SEC Litigation Releases for new banking & finance regulatory changes. Every update since tracking began is archived, classified, and available as free RSS or email alerts — 6 changes logged to date.

What changed

The SEC secured a final judgment against Clarice Saw, finding her liable for violating Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder, and Section 17(a) of the Securities Act of 1933. The court granted summary judgment on July 25, 2025, and subsequently ordered monetary and injunctive relief on March 27, 2026.

Broker-dealers and registered representatives should note the specific conduct at issue: misappropriation of approximately $2.4 million from an elderly customer over a four-month period while associated with a registered broker-dealer. The total monetary judgment of $1,379,318.64 (disgorgement plus prejudgment interest plus civil penalty) reflects the SEC's enforcement focus on protecting elderly and vulnerable investors from registered professionals who breach fiduciary duties.

Penalties

Disgorgement: $640,587.30; Prejudgment interest: $98,144.04; Civil penalty: $640,587.30

Archived snapshot

Apr 24, 2026

GovPing captured this document from the original source. If the source has since changed or been removed, this is the text as it existed at that time.

Clarice Saw

U.S. SECURITIES AND EXCHANGE COMMISSION

Litigation Release No. 26537 / April 23, 2026

Securities and Exchange Commission v. Clarice Saw, 23 Civ. 6573 (S.D.N.Y. filed July 28, 2023)

SEC Obtains Final Judgment as to Former New York Registered Representative Charged with Misappropriating Customer Funds

On April 15, 2026, the United Stated District Court for the Southern District of New York entered a final judgment as to Clarice Saw in the SEC’s civil enforcement action against her.

The SEC’s complaint, filed on July 28, 2023, alleged that between December 2021 and March 2022, Saw, while associated with a registered broker-dealer, engaged in a fraudulent scheme and misappropriated approximately $2.4 million from an elderly customer.

On July 25, 2025, the Court granted the SEC’s motion for summary judgment, finding Saw liable for violating Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder, and Section 17(a) of the Securities Act of 1933. On March 27, 2026, the Court granted the SEC’s motion for monetary and injunctive relief against Saw.  The final judgment permanently enjoins Saw from violating the above-stated provisions of the federal securities laws by committing or engaging in specified actions or activities relevant to such provisions, and further orders Saw to pay disgorgement of $640,587.30, prejudgment interest of $98,144.04, and a civil penalty of $640,587.30.

The SEC's litigation was led by Oren Gleich and Sheldon Mui, and supervised by Jack Kaufman and Mark Sylvester, all of the SEC’s New York Regional Office.

Resources

CFR references

17 CFR 240.10b-5

Named provisions

Section 10(b) of the Securities Exchange Act of 1934 Rule 10b-5 Section 17(a) of the Securities Act of 1933

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Last updated

Classification

Agency
SEC
Filed
April 15th, 2026
Instrument
Enforcement
Branch
Executive
Legal weight
Binding
Stage
Final
Change scope
Substantive
Document ID
Litigation Release No. 26537
Docket
23 Civ. 6573

Who this affects

Applies to
Broker-dealers Investors Financial advisers
Industry sector
5231 Securities & Investments
Activity scope
Securities fraud Customer fund misappropriation Investor protection
Geographic scope
United States US

Taxonomy

Primary area
Securities
Operational domain
Compliance
Compliance frameworks
Dodd-Frank SOX
Topics
Anti-Money Laundering Consumer Finance

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